Aviva 2006 Annual Report Download - page 60

Aviva plc
Annual Report and Accounts 2006 56
Finance continued
Risk
The Group’s approach to risk and capital management
As part of our overall corporate governance framework described
on pages 77 to 81 we have established a risk and financial
management structure whose primary objective is to protect the
group from events that hinder the achievement of our objectives,
our financial performance, or cause us to fail to exploit opportunities.
We have established a number of policies that deal with
the management of both financial and non-financial risks.
These policies set out risk appetite, risk management and
Business review continued
control and business conduct standards for the group’s worldwide
operations. They enable a broadly consistent approach to the
management of risk by business units.
For each policy, a member of senior management is responsible
for overseeing compliance with that policy throughout the group.
Additionally, we operate a number of oversight committees,
to monitor aggregate risk data, take risk management decisions,
and to enforce the implementation of the policies. Our finance
and risk management committee structure is set out below.
Our governance structure and policies are regularly reviewed
to reflect the changing commercial and regulatory environment,
and our own organisational structure.
Risk Committees: Financial and Operating Risk
Board
Audit
Committee
Risk and
Regulatory
Committee
CSR
Committee
Executive
Committee
Operational Risk
Committee
Asset Liability
Committee
Credit
Life Insurance IT Business
Standards
General Insurance
Investment
Business
Protection
HR
Management
Compliance
Capital Management
Reserving
Derivatives Reinsurance